Tax-Free Savings Account

Tax-Free Savings Account

Tax-Free Savings Account

A Tax-Free Savings Account (TFSA) is a savings option that does not apply tax to the growth earned by the investment. This is unique from traditional savings accounts that does charge tax on the growth. Even in a Retirement Savings Plan (RSP) the growth is taxed when the money is withdrawn from the RSP. With a TFSA, no matter how much the investments earn, the growth will never be taxed.  

Annual limit contribution: $6,000 per year*
 

Notable Features

  • Flexibility and tax-free growth
  • Unused contributions carried forward from year to year
  • Contribution room is regained the year following a withdrawal
  • Transferable to spouse/common-law partner upon death
  • Does not affect eligibility for government sponsored retirement income programs
  • Investment options that include a full range of funds and guaranteed interest options
Each year residents of Canada who are at least 18 years of age can invest an annual limit into a TFSA. Deposits made into a TFSA are made with after-tax dollars meaning that withdrawals can be made at any time on a tax-free basis. Once a withdrawal is made, the contribution room is regained in the year following the withdrawal.


Products that offer a TFSA

  • Guaranteed Interest Account
  • Pivotal Select
* Annual limit is set by Canada  Revenue Agency (CRA) guidelines, currently $6,000 per year.
This table includes downloadable marketing materials saved in PDF format. Each row is a different product and may contain versions of the brochure in alternate languages.
Form Number Cover Marketing Material Name Available Languages Product
1971 Download cover image for file Fidelity Investments funds for Pivotal Select Fidelity Investments funds for Pivotal Select File
The newly offered Fidelity® Investments funds for Pivotal Select™ segregated funds invest in underlying mutual funds. (Available in PDF only)
FR
1353 Download cover image for file Choosing the right account type Choosing the right account type File
There is no simple answer to the question, where should I save my money?
FR
0000 Download cover image for file Facts & Figures Facts & Figures File
TFSA Contribution Limits, RRSP Contribution Limits, TOP Marginal Tax Rates, Retirement Income Fund Minimum, Canada Pension Plan Benefits. (Available in PDF only).
FR
1583 Download cover image for file Make your money work for you Make your money work for you File
We all know a Retirement Savings Plan (RSP) is a great way to save for retirement. We all know a Retirement Savings Plan (RSP) is a great way to save for retirement. When we make an RSP contribution we receive an immediate tax refund.
FR
1630 Download cover image for file Tax-free money does exist, if you know where to look. Tax-free money does exist, if you know where to look. File
The simple truth is that money accumulates over time.
FR
1276 Download cover image for file Tax-Free Savings Account (TFSA) Tax-Free Savings Account (TFSA) File
Whether your savings goals are short-term or long-term, a TFSA can help you fast-track your savings.
FR
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Tax-free means more savings
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The Tax-Free Savings Account can be a misunderstood savings tool
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How to choose between an RSP and a TFSA
For years Canadians have utilized Retirement Savings Plans (RSPs) as the primary investment vehicle for retirement savings.  With the introduction of Tax-Free Savings Account (TFSA), there has been great debate over where to invest: RSP or TFSA? Although the two account types share some common traits, there are some key differences.
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